Your rate class is based on your maximum demand (kW) per month. Your rate class and service location are noted under the "Rate Code" section of your bill. Rate code key:

The rate structure indicates whether it is a flat rate, block rate, or based on time of use. The rate structure is displayed on your bill under "Peak."

• Flat rate: The charge for electricity use is the same price per kWh regardless of time or quantity. Flat rates are typical for small and medium general service customers.
• Block rate: The price of electricity changes at different levels of consumption.
• Time of use: Prices vary by time of day, with higher prices for usage during peak demand periods such as early evening. Time-of-use rates are for large and high-demand general service customers.

Elements include types of energy used, demand for energy, and other charges to cover the cost of service.

• Unit charge: That portion of a customer's bill based on the electric energy (kWh) consumed.
• Demand charge: That portion of a customer's bill based on the peak electricity demanded.
• Power factor penalty charge: The measure of how effectively power is being used at the service location. The penalty charge is only assessed if the power factor is less than 97%. This is typically only used for industrial facilities using large electric equipment that place a heavier than normal drain on the power source.
• Transformer investment discount: This discount is for primary metering customers who own their own transformers. The transformer distributes power on the last leg of the trip to your business for high voltage transmission.